Zakat in Islam – Calculations & Other Issue

Zakat (Alms) – Zakat in Islam – Calculations & Other Issue

zakat-calculation-method

Zakat is one of the five pillars of Islam. It has been mentioned, along with daily Prayers (Salaat / Namaz), over seventy times in the Quran. Allah’s word commanding “…..and establish regular Salaat and give regular Zakat…..” are referred to in many parts of the Quran. From this we can conclude that after Salaat, Zakat is the most important act in Islam.

Just as Salaat is the most important act of worship which has to be performed bodily, so is Zakat the main act of worship which has to be performed monetarily. Those who fulfill this duty have been promised abundant reward in this world and hereafter. Whoever evades Zakat has been sternly warned in the Qur’an and Hadith of the consequences.

Linguistically, Zakat has two meanings: purification and growth. Technically, it means to purify one’s possession of wealth by distributing a prescribed amount to the poor, the indigent, the slaves or captives, and the wayfarer.

There are many major benefits of giving Zakat:

  • It reminds Muslims of the fact that whatever wealth they may possess is due to the blessings of Allah and as such it is to be spent according to the His commands.
  • Zakat functions as a social security for all. Those who have enough money today pay for what they have. If they need money tomorrow they will get what is necessary to help them live decently.
  • Zakat payer pays his dues to Allah as an act of worship, a token of submission and an acknowledgment of gratitude. The receiver of Zakat receives it as a grant from Allah out of His bounty, a favor for which he is thankful to Allah.
  • Economically, Zakat is the best check against hoarding. Those who do not invest their wealth but prefer to save or hoard it would see their wealth dwindling year after year at the rate of the payable Zakat. This helps increase production and stimulates supply because it is a redistribution of income that enhances the demand by putting more real purchasing power in the hands of poor.

Zakat is obligatory upon a person if :

  • He or she is an adult, sane, free and Muslim.
  • He/she must possess wealth in excess of specified minimum (Nisaab) excluding his or her personal needs (clothing, household furniture, utensils, cars etc. are termed article of personal needs).
  • It should be possessed for a complete lunar year.
  • It should be of productive nature from which one can derive profit or benefit such as merchandise for business, gold, silver, livestock etc.

The amount of wealth which makes one liable for Zakat is called Nisaab. The Nisaab as fixed by Prophet Muhammad (P.B.U.H) is as follows:

Grams Tolas Grains Troy Oz.
GOLD 87.48 7.50 1350 2.8125
SILVER 612.36 52.50 9450 19.6875

Nisaab of cash, stock or bonds, other cash assets is the equivalent amount of Gold or Silver. Nisaab is calculated by adding up the cash value of all the assets such as gold, silver, currency etc. and if it is equal to or in excess of the minimum Nisaab as specified in the above table, the Zakat is due at the rate of 2.5%.

The payment of Zakat is compulsory on the excess wealth or effects which is equal to or exceeds the value of Nisaab, and which is possessed for a full Islamic year. If such wealth decreases during the course of the year and increases again to the value of Nisaab before the end of the year, the Zakat then must be calculated on the full amount that is possessed at the end of the year.

TYPES OF WEALTH ON WHICH ZAKAT IS IMPOSED:

Gold and silver, in any form.
Cash, bank notes, stocks, bonds etc.
Merchandise for business, equal to the value of Nisaab.
Live stock.
On income derived from rental business.

CALCULATION OF ZAKAT:

  • To calculate Zakat on jewelry etc. one must first determine the gold or silver content and then calculate the Zakat according to current market price.
  • If the Gold possessed is less than 87.48 grams or if silver possessed is less then 612.36 grams, but the value of both combined is equal to or exceeds the Nisaab of either Gold or Silver, the Zakat will be due.
  • In the event of an article not being of pure gold or pure silver, but containing a mixture of other metals and the gold or silver content is more than the other metal, it will be regarded as gold or silver and Zakat will be due. But in the case where other metal/s is of greater quantity than either gold or silver, Zakat will not be due on this article.
  • For stocks (shares held in a company), Zakat is calculated based upon the current market value. As machinery, land, fixtures and fittings, furniture, buildings etc. are exempt from Zakat, one is allowed to subtract these from the total asset. This could be obtained from annual reports. For example, if one has shares worth $1000 and machinery, land etc., are worth 5% of the total asset, then deduct $50 for these assets, afterwards deduct the liabilities of the company proportionately to the percentage of shares held. Zakat must be calculated on the balance.

DISTRIBUTION OF ZAKAT:

  • Zakat should be given as soon as possible after it becomes due.
  • All of the Zakat can be given to one person or to several persons.
  • A poor man cannot be paid for his work from Zakat nor can Zakat be given in payment of services, except to the people appointed by the Islamic government to collect Zakat.
  • Zakat will only be valid if the recipient is made the owner of that amount. If, for example, a few needy persons are fed a meal from Zakat money, then Zakat will not be fulfilled as they were not made owners of the food.
  • Zakat cannot be given for the construction of Masjid, Madrasah, Hospital, a well, a bridge or any other public amenity.
  • Zakat can be paid in kind from the same merchandise on which it is due, or alternatively, it could be paid in cash.

TYPES OF WEALTH ON WHICH ZAKAT IS NOT IMPOSED:

  • On any metals other than gold or silver.
  • Fixtures and fittings of a shop, car, trucks or any delivery vehicle etc., which is used in running business.
  • Diamonds, pearls, other precious or semi precious stones which are for personal use.
  • There is no Zakat on personal residence, household furniture, pots and pan, personal clothing, whether they are in use or not.
  • There is no Zakat on a person whose liabilities exceed or equal his assets. (Home Mortgage in this country is not to be counted as personal liability for the Zakat purpose).

RECIPIENTS OF ZAKAT:

The recipients of Zakat, according to Quran are as follows:

“Alms are for the poor and the needy, and those employed to administer (the funds); for those whose hearts have been (recently) reconciled (to truth); for those in bondage and in debt; and for the wayfarer: (Thus is it) ordained by Allah, and Allah is full of Knowledge and Wisdom.” (Quran 9:60)

  • FUQARA: people who are poor and who possess more than their basic needs but do not possess wealth equal to Nisaab.
  • MASAKEEN: people who are destitute and extremely needy to the extent they are forced to beg for their daily food rations.
  • AL-AMILEEN: people appointed by an Islamic Government to collect Zakat.
  • MU-ALLAFATUL-QULUB: persons who have recently accepted Islam and are in need of basic necessities who would benefit from encouragement by Muslims which would help strengthen their faith.
  • AR-RIQAAB: slaves who are permitted to work for remuneration and have an agreement from their masters to purchase their freedom on payment of fixed amounts.
  • AL-GHAARIMEEN: persons who have a debt and do not possess any other wealth or goods with which they could repay that which they owe. It is conditional that this debt was not created for any un-Islamic purpose.
  • FI-SABILILLAH: persons who have to carry out an obligatory deed which has become obligatory on them and subsequently (due to loss of wealth) are unable to complete that obligation.
  • IBN-US-SABEEL: persons who are travelers and during the course of their journey do not possess basic necessities, though they are well to do at home. They could be given Zakat in order to fulfill travel needs to return home.

PERSONS WHO CANNOT BE GIVEN ZAKAT:

  • Zakat cannot be given to the descendants of Muhammad (P.B.U.H);
  • Zakat cannot be given to parents and grandparents. In the same manner one’s children and grandchildren cannot be given Zakat. A husband and wife cannot give Zakat to each other.
  • Zakat contributions cannot be given to such institutions or organizations who do not give the rightful recipients possession of Zakat, but instead use Zakat funds for constructions, investment or salaries.

VIRTUES OF ZAKAT:

Allah says in the Quran:

“The parable of those who spend their wealth in the way of Allah is that of a grain of corn. It grows seven ears and each ear has hundred grains. Allah increases manifold to whom He pleases.” (Quran 2:261)

It is stated in the Hadith that by giving Zakat the following benefits are derived:

  • Gain the pleasure of Allah.
  • Increase in wealth and protection from losses.
  • Allah’s forgiveness and blessings.
  • Protection from the wrath of Allah and from a bad death.
  • A shelter on the Day of Judgment;
  • Security from seventy misfortunes.

THE PUNISHMENT FOR NOT GIVING ZAKAT:

Allah says in the Quran:

“And there are those who hoard gold and silver and do not spend it in the way of Allah, announce to them a most grievous penalty (when) on the Day of Judgment heat will be produced out of that wealth in the fire of Hell. Then with it they will be branded on their forehead and their flanks and backs. (It will be said to them) This is the treasure which you hoarded for yourselves, taste then the treasure that you have been hoarding.” (Al-Quran 9:34-35)

Courtesy of Easy Islam

Secrets of Surah Al-Kahf

Secrets of Surah Al-Kahf

secrets-of-surah-al-kahf

Ever wondered why Prophet Muhammad (SAW) asked us to recite Surat Al-Kahf every Friday?

This surah has four stories in it, having some morals, lets see them and understand what they are saying to us:

1) The people of the cave
It’s the story of young men who lived in a disbelieving town, so they decided to migrate for the sake of Allah and run away. Allah rewards them with mercy in the cave and protection from the sun – they woke up and found the entire village believers.

Moral: trial of faith

2) The owner of two gardens
A story of a man whom Allah blessed with two beautiful gardens, but the man forgot to thank the one who blessed him with everything and he even dared to doubt Allah regarding the afterlife. So his garden was destroyed – he regretted ,but was too late and his regret did not bene?t him.
Moral: trial of wealth

3) Musa(as) and Khidr(as)
When musa(as) was asked-“who’s the most knowledgeable of the people of earth?”” Musa(as) said: me…,but Allah revealed to him that there’s someone who knows more than him. Musa(as) traveled to the man and learned how the divine wisdom can sometimes be hidden in matters which we perceive as bad.

Moral: trial of knowledge

4) Dhul-qarnayn
It’s a story of the great king that was given knowledge and power and was going around the world,helping people and spreading all that’s good. He was able to overcome the problem of Yajooj-Majooj and build a massive dam with the help of people whom he could not even understand.
Moral: trial of power

In the middle of the surah Allah mentions iblees as the one who stirs these trials:

Behold! we said to the angels “bow down to adam”: they bowed down except iblis. he was one of the jinns, and he broke the command of his lord. will ye then take him and his progeny as protectors rather than me? and they are enemies to you! evil would be the exchange for the wrongdoers!

Now let us see what’s the relationship between surat al-kahf and the dajjal (anti-christ)?
Dajjal will appear before day of judgement with the 4 trials:

A) He’ll ask people to worship him and not Allah: trial of faith.
B) He’ll be given powers to start/stop rain and tempt people with his wealth: trial of with his wealth.
C) He’ll trial people with the “knowledge” and news he gives them: trial of knowledge.
D) He’ll control huge parts of the earth: trial of power.

How to survive these trials? The answers are in Surat Al-Kahf:

Survival kit 1: Good companionship
“and keep thy soul content with those who call on their lord morning and evening, seeking his face; and let not thine eyes pass beyond them, seeking the pomp and glitter of this life; no obey any whose heart we have permitted to neglect the remembrance of us, one who follows his own desires, whose case has gone beyond all bounds.” (Surat al-kahf, verse 28)

Survival kit 2: Knowing the truth of this world
“set forth to them the similitude of the life of this world: it is like the rain which we send down from the skies: the earth’s vegetation absorbs it, but soon it becomes dry stubble, which the winds do scatter: it is (only) Allah who prevails over all things” (Surat al-kahf, verse 45)

Survival kit 3: Humbleness.
[Moses] said, “You will find me, if Allah wills, patient, and I will not disobey you in [any] order.” (Surat al-kahf, verse 69)

Survival kit 4: Sincerity.
“say: “i am but a man like yourselves, (but) the inspiration has come to me, that your Allah is one Allah whoever expects to meet his lord, let him work righteousness, and, in the worship of his lord, admit no one as partner.” (Surat al- kahf, verse 110)

Survival kit 5: Calling to Allah.
“and recite (and teach) what has been revealed to thee of the book of thy lord: none can change his words, and none wilt thou ? and as a refuge other than him.” (surat al-kahf, verse 27)

Survival kit 6: Remembering the Hereafter.
“ one day we shall remove the mountains, and thou wilt see the earth as a level stretch, and we shall gather them, all together, nor shall we leave out any one of them. and they will be marshalled before thy lord in ranks, (with the announcement), “now have ye come to us (bare) as we created you ?rst: aye, ye thought we shall not ful?l the appointment made to you to meet (us)!”: and the book (of deeds) will be placed (before you); and thou wilt see the sinful in great terror because of what is (recorded) therein; they will say, “ah! woe to us! what a book is this! it leaves out nothing small or great,but takes account thereof !” they will ?nd all that they did, placed before them: and not one will thy lord treat with injustice.” (surat al-kahf, verses 47-49)

When is Shab e Barat in 2014

Shab-e-Barat: The night of forgiveness

shab-e-barat

When is Shab e Barat in 2014 , this is on 14 June 2014 .

Shab e Barat in Pakistan 2014 – 14 June 2014

Shab e Barat in Bangladesh 2014 – 14 June 2014

Shab e Barat in India 2014 – 14 June 2014

On the event of Shab-e-Barat, muslims gather at mosques to mark Shab-e-Barat or the night of forgiveness in Karachi. Alternative name: Mid-Shaban

It is belived that if someone prays to God throughout the night and seeks forgiveness for all the sins he may have committed, he could be forgiven. The entire night of prayer is devoted to asking for forgiveness for the past year and for good fortune in the year to come.

What is Shab e Barat in Muslims :

Mid-Sha’ban is the 15th day of the eighth month (shaaban) of the Islamic lunar calendar. The preceding night is known as Laylatul Bara’ah or Laylatun Nisfe min Sha’ban in the Arab world, and as Shab-e-barat (شب برات) in Afghanistan, Iran, Bangladesh, Pakistan, and India. These names are translated to the night of records, the night of assignment, the night of deliverance or the night of salvation, and the observance involves a festive nightlong vigil with prayers. In some regions, this is also a night when one’s deceased ancestors are commemorated.

Other names:

Lailat al-Baraa (Arabic: ليلة البراءة‎, Night of Innocence or Night of Salvation, or Seeking Freedom from Azaab and Calamity)

Lailat al-Du’a (Arabic: ليلة الدعاء‎, Night of Prayer or Supplication)

Nim Sha’ban (Persian: نيم شعبان‎ in Afghanistan and Iran.

Nisf Sha’ban (Arabic: نصف شعبان‎, Mid-Sha’ban) in Arabic speaking countries.

Nisfu Sya’ban in Malay speaking countries.

Shab e Baraat (Urdu: شبِ براءت‎ in Pakistan, India and Bangladesh meaning the ‘Night of Innocence’.

Berat Kandili in Turkish

What is the Hijri Year Now

What is Hijri Year

The Hijri year (AH anno hegirae /ˈænoʊ ˈhɛdʒɨriː/) is the year-numbering system (or Calendar era) used in the Islamic calendar. It commemorates the Hijra (هِجْرَة), or emigration of Muhammad and his followers to the city of Medina in 622 CE. In Arabic, AH is symbolized by the letter هـ. The year 2014 AD corresponds to the Islamic years 1435–1436 AH.

What-is-Hijri-Year-Now

What is the Hijri Year Now

Gregorian Calendar Year 2014 is equal to Hijri Calendar 1435

Gregorian Calendar Year 2015 is equal to Hijri Calendar 1436

Gregorian Calendar Year 2016 is equal to Hijri Calendar 1437

Gregorian Calendar Year 2017 is equal to Hijri Calendar 1438

Gregorian Calendar Year 2018 is equal to Hijri Calendar 1439

Gregorian Calendar Year 2019 is equal to Hijri Calendar 1440

and so on……

Allah – In The Name of Allah – Bismillah

Allah-Name-Simple

Allah is the Arabic word for God (literally ‘the God’, as the initial “Al-” is the definite article). It is used mainly by Muslims to refer to God in Islam, Arab Christians, and often, albeit not exclusively, by Bahá’ís, Arabic-speakers, Indonesian, Malaysian and Maltese Christians, and Mizrahi Jews.

In pre-Islamic Arabia, Allah was used by Meccans as a reference to the creator-god, possibly the supreme deity. Allah was not considered the sole divinity; however, Allah was considered the creator of the world and the giver of rain. The notion of the term may have been vague in the Meccan religion. Allah was associated with companions, whom pre-Islamic Arabs considered as subordinate deities. Meccans held that a kind of kinship existed between Allah and the jinn. Allah was thought to have had sons and that the local deities of al-‘Uzzá, Manāt and al-Lāt were His daughters. The Meccans possibly associated angels with Allah. Allah was invoked in times of distress. Hazrat Muhammad PBUH’s father’s name was ‘Abd Allāh meaning ‘the slave of Allāh’.

Many inscriptions containing the name Allah have been discovered in Northern and Southern Arabia as early as the 5th century B.C., including Lihyanitic, Thamudic and South Arabian inscriptions.

The name Allah or Alla was found in the Epic of Atrahasis engraved on several tablets dating back to around 1700 BC in Babylon, which showed that he was being worshipped as a high deity among other gods who were considered to be his brothers but taking orders from him.

Dumuzid the Shepherd, a king of the 1st Dynasty of Uruk named on the Sumerian King List, was later over-venerated so that people started associating him with “Alla” and the Babylonian god Tammuz.

According to Islamic belief, Allah is the proper name of God, and humble submission to his will, divine ordinances and commandments is the pivot of the Muslim faith. “He is the only God, creator of the universe, and the judge of humankind.” “He is unique (wāḥid) and inherently one (aḥad), all-merciful and omnipotent.”The Qur’an declares “the reality of Allah, His inaccessible mystery, His various names, and His actions on behalf of His creatures.”

Allah script outside Eski Cami (The Old Mosque) in Edirne, Turkey.

In Islamic tradition, there are 99 Names of God (al-asmā’ al-ḥusná lit. meaning: ‘the best names’ or ‘the most beautiful names’), each of which evoke a distinct characteristic of Allah. All these names refer to Allah, the supreme and all-comprehensive divine name. Among the 99 names of God, the most famous and most frequent of these names are “the Merciful” (al-Raḥmān) and “the Compassionate” (al-Raḥīm).

Most Muslims use the untranslated Arabic phrase in shā’ Allāh (meaning ‘if God wills’) after references to future events. Muslim discursive piety encourages beginning things with the invocation of bismillāh (meaning ‘in the name of God’).

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